ÚZSVM will attempt to sell the Broadway Palace in Prague at auction for the eighth time in January

Prague - The Office for Representation of the State in Property Matters (ÚZSVM) will attempt for the eighth time in January to sell the Prague Broadway Palace in an electronic auction. The starting price of the property in the city center has been reduced by 13 million crowns compared to the previous attempt in mid-September, now set at 878 million crowns. The office announced this in a press release today. In all previous attempts to sell, there has always been one interested party who submitted the required deposit but did not make any bids.

"The reason for announcing another round of electronic auction is that the current tenant has repeatedly failed to exercise their preemptive right and has not made an offer to purchase at the minimum price announced in the previous round of the auction within the stipulated timeframe," indicated ÚZSVM. The tenant will have preemptive rights in the upcoming round of the auction, where they will have the opportunity to match the highest bid submitted.

The auction will take place from January 22 to January 23. In order for it to be successful, interested parties must make at least one bid at the starting price. ÚZSVM has set the minimum increment for further bids at 50,000 crowns. Interested parties must submit a deposit of 20 million crowns no later than the day before the auction begins.

The functionalist building, designed by architects Bohumír Kozák and Antonín Černý in the 1930s, is located between Celetná and Na Příkopě streets, near Wenceslas Square. The building consists of three connected wings. It is one of the largest functionalist new constructions in the historical center of Prague. Initially, it served the needs of Italian insurance companies, and there were apartments in part of the complex. After 1980, the building was adapted for administrative purposes. In the basement of the building, a cinema was opened in 1938 with the then most modern projection and sound equipment. Currently, the premises of the palace are used by the Broadway Theatre.

In accordance with the law, the property office offered the building after taking it over from the then Railway Administration (now the Railway Administration) in 2016, first to other state institutions. However, none of them showed interest. Therefore, the office is seeking a new owner through an electronic auction.

ÚZSVM has been trying to sell the Broadway Palace in electronic auctions since September 2021. If the current auction is successful, it could become the most successful sale in the office's history. The highest amount so far, 790 million crowns, was obtained by the state from the sale of the complex at Wenceslas Square in Prague.

Simultaneously with the auction of the Broadway Palace, an auction of the Central Bohemian chateau Štiřín will also take place. Its sale has also been unsuccessful for ÚZSVM; no one has registered in the previous three rounds of the auction, and the property office has gradually reduced the starting price from the original 3.3 billion crowns to the current 1.445 billion crowns.